mgruber, correct. I am finding the cheese on the right (passenger side), cyls 1-4. I have no explanation as to why I find cheese here and not on the other side. I must admit, I'm not entirely clear as to what the upgraded parts are designed to do so I can't explain the difference between left and right sides. My first thought is that the left side hose runs out of the head cover and the down and out of sight. I can't tell if it's piped into the intake or somewhere else (maybe it sees more flow and runs at a higher temp???).

The only recommendation from the dealer was to drive it hard and make sure it always gets up to operating temperature. No short trips, no idling, and a hot oil change at 1000km (I did one at 500 and I'll do another at 1000).

My warranty expired in November. I have 86,000km. I was well informed of BMW CCV and separator issues so I fought hard for some goodwill from the dealer. They contacted BMW Canada for a favor but I was denied: "no goodwill on vehicles imported from the States" (I imported from Chicago last year). Don't get me started on this rant....

In response to dkl's comment: I specifically asked the dealer if there could be a another problem contributing to the high moisture. The service rep double checked with the tech and I was told "no". They also promised to contact BMW directly to inquire as to other causes. I've heard nothing back.

If anyone has any other ideas on potential causes, please let me know!!!

A mechanic friend who works on big rigs was well aware of moisture build-up problems (and freeze ups ). He told me the moisture is notoriously hard to get rid of (but was unable to explain why). I'd love to know why an oil change doesn't do it!